Tokyo Stocks End Lower On Profit-taking

Tokyo stocks snapped a four-day winning streak to close lower on Monday, as investors took profits after the key Nikkei index hit record highs last week

Tokyo, (UrduPoint / Pakistan Point News - 25th Mar, 2024) Tokyo stocks snapped a four-day winning streak to close lower on Monday, as investors took profits after the key Nikkei index hit record highs last week.

The benchmark Nikkei 225 index lost 1.16 percent, or 474.31 points, to end at 40,414.12, while the broader Topix index dropped 1.26 percent, or 35.58 points, to 2,777.64.

"Profit-taking was dominant in Tokyo after falls of the Dow index, amid widespread caution over the rapid rise (of the Nikkei index)," IwaiCosmo Securities said.

The dollar fetched 151.24 yen in Asian trade, against 151.40 yen in New York on Friday.

A Japanese finance ministry currency diplomat on Monday hinted at potential intervention in the currency market, referring to the yen's depreciation after the Bank of Japan raised interest rates but indicated monetary easing conditions would continue.

"Clearly there are speculative actions behind the current cheapness of the yen," Masato Kanda told reporters.

"We can't tolerate excessive movement based on speculation, which has a huge negative effect on the national economy," he said.

"We will take appropriate measures against excessive movement without ruling out any means."

Automakers were lower, with Toyota falling 1.08 percent to 3,830 yen and Honda plunging 2.21 percent to 1,879 yen.

Nissan dropped 2.12 percent to 629 yen. After the closing bell, the auto giant announced a new global target of selling one million more vehicles annually in three years' time.

Uniqlo operator Fast Retailing slid 0.59 percent to 47,130 yen while Sony Group tumbled 2.97 percent to 13,050 yen.